What Is Cardano (ADA)?
Cardano (ADA), launched in September 2017, is the native cryptocurrency of the Cardano blockchain, a decentralized, open-source Layer 1 blockchain designed for smart contracts and decentralized applications (dApps). Founded by Charles Hoskinson, Cardano emphasizes academic rigor, sustainability, and scalability. ADA powers transaction fees, staking, and governance, supporting a growing ecosystem with $1.2B in total value locked (TVL).
Key Features
- High Scalability: Processes up to 1,000 transactions per second (TPS) with Hydra scaling, targeting millions TPS.
- Low Fees: Average transaction cost of ~$0.17, competitive for DeFi and NFT use.
- Proof-of-Stake (PoS): Ouroboros consensus ensures energy efficiency, with 3,000+ stake pools.
- Ecosystem: Hosts 138,000+ smart contracts, 8,000+ tokens, and projects like SNEK and World Mobile.
ADA Token
- Purpose: Used for transaction fees, staking rewards, and governance voting in the Voltaire era.
- Supply: Circulating supply of ~36 billion ADA, with a max supply of 45 billion.
- Contract Address: Native to Cardano;
- CoinGecko CMC. Add to wallets like Daedalus or Yoroi.
Who Are the Founders of Cardano?
Cardano was co-founded by Charles Hoskinson, Jeremy Wood, and Aggelos Kiayias in 2015, with development led by Input Output Hong Kong (IOHK). Funded by a $60M ICO in 2017, Cardano is supported by the Cardano Foundation and IOHK. Hoskinson, a former Ethereum co-founder, drives its research-first approach.
What Makes Cardano Unique?
Cardano stands out for its academic approach:
- Research-Driven: Peer-reviewed protocols, with 190+ academic papers, ensure robust design.
- Ouroboros PoS: Energy-efficient consensus, distributing rewards across 3,000+ stake pools.
- Voltaire Governance: Introduces a treasury and voting system, making Cardano self-sustaining.
- Interoperability: Unreal Engine 4/5 plugins and cross-chain bridges enhance dApp development.
ADA Network Upgrades (2025)
- Chang Hard Fork (Q1 2025): Completed Voltaire transition, enabling community governance and treasury voting.
- Hydra Scaling (June 2025): Boosted TPS to 1,000, with sub-second finality for DeFi and gaming dApps.
- ETF Proposals (June 2025): Nasdaq proposed adding ADA to Hashdex Crypto ETF, increasing volume by 33.8% to $776M daily.
How Is ADA Secured?
Cardano and ADA are secured through:
- Ouroboros PoS: Validators stake ADA to secure the network, with rewards for honest behavior.
- Decentralized Stake Pools: Over 3,000 pools globally, with no single entity controlling consensus.
- Formal Verification: Haskell-based code undergoes rigorous academic audits for security.
- Governance: ADA holders vote on upgrades, ensuring decentralized control and evolution.
Conclusion
Cardano (ADA) powers a scalable, research-driven blockchain for smart contracts, DeFi, and dApps. With its Ouroboros PoS, peer-reviewed protocols, and Voltaire governance, Cardano offers a sustainable alternative to Ethereum. Recent upgrades like Hydra and ETF proposals give it a niche in the crypto market.